American meat giants forced to import Brazilian feed
American meat giants forced to import Brazilian feed
American pork processing giant Smithfield Foods and major poultry processor, Pilgrim’s Pride are both reported to be importing corn from Brazil as the US drought continues.
America’s biggest meat producer, Tyson Foods, has also not ruled out the possibility of purchasing Brazilian feed, although according to a recent Reuters report its current domestic supply costs less than corn imports at present.
Tyson reported a Q3 profit reduction of 61%. President and chief executive, Donnie Smith said: “Grain costs have been increasing significantly and rapidly, largely as a result of the on-going US drought. While we ultimately expect to pass along rising input cots, these costs, coupled with continued soft demand, are likely to pressure earnings in 2013.”
